Raghuram Rajan’s term mischievously interrupted: P Chidambaram

Former Union Finance Minister P. Chidambaram on Thursday hinted that the outgoing Reserve Bank of India (RBI) Governor Raghuram Rajan not seeking another term was due to the "mischievous interruption" by the government.

P Chidambaram said D Subbarao’s term as the RBI Governor was extended despite tension between them, as stated in the book. (PTI)

Former Union Finance Minister P. Chidambaram on Thursday hinted that the outgoing Reserve Bank of India (RBI) Governor Raghuram Rajan not seeking another term was due to the “mischievous interruption” by the government.

“As per the convention, the extension of the RBI Governor’s term is only a formality. But it has been mischievously interrupted,” Chidambaram said.

He was speaking at the book launch of ‘Who Moved My Interest Rates?’, written by former RBI Governor D. Subbarao.

P Chidambaram said D Subbarao’s term as the RBI Governor was extended despite tension between them, as stated in the book.

“But now there is no tension between the government (NDA) and the RBI Governor (Rajan) but his term was not extended,” he added.